90 STAT. 1743
PUBLIC LAW 94-455—OCT. 4, 1976
the deduction for dividends paid (for purposes of section 857) for 26 USC 857. such year. " (b) RULES FOR APPLICATION OF S E C T I O N. —
" (1) ADJUSTMENT. — For purposes of this section, the term "Adjustment." 'adjustment' means— " (A) any increase in the sum of— " (i) the real estate investment t r u s t taxable income .,,!:, t,;' of the real estate investment trust (determined without regard to the deduction for dividends paid ( a s defined in section 561) and by excluding any n e t capital g a i n), and " ( i i) the excess of the n e t income from foreclosure property (as defined in section 857(b)(4)(B)) over the tax on such income imposed by section 8 5 7 (b)(4)(A), " (B) any increase in the amount of the excess described in section 857(b)(3)(A) (ii) (relating to the excess of the Post, p. 1756. net capital gain over the deduction for capital gains dividends p a i d), and " (C) any decrease in the deduction for dividends paid (as defined i n section 561) determined without regard to capital gains dividends. "(2) INTEREST AND ADDITIONS TO TAX DETERMINED W I T H RESPECT TO THE AMOUNT OF DEFICIENCY DIVIDEND DEDUCTION
ALLOWED.—For purposes of determining interest, additions to tax, and additional amounts— " (A) the tax imposed by this chapter (after taking into account the deduction allowed by subsection (a)) on the real estate investment trust for the taxable year with respect to which the determination is made shall be deemed to be increased by a n amount equal to the deduction allowed by subsection (a) with respect to such taxable year, " (B) the last date prescribed for payment of such increase in tax shall be deemed to have been the last date prescribed for the payment of tax (determined i n the manner provided by section 6601(c)) for the taxable year with respect to which the determination is made, and " (C) such increase in tax shall be deemed to be paid as of the date the claim for the deficiency dividend deduction is filed. "(3)
CREDIT OR REFUND.—If
the allowance
of
a
deficiency
dividend deduction results in an overpayment of tax for any taxable year, credit or refund with respect to such overpayment shall be made as if on the date of the determination 2 years remained before the expiration of the period of limitations on the filing of claim for refund for the taxable year to which the overpayment relates. " (c) DETERMINATION.—For purposes of this section, the term "Determina'determination' means— tion." " (1) a decision by the T a x Court, or a judgment, decree, or other order by any court of competent jurisdiction, which has become final; " (2) a closing agreement made under section 7121; or " (3) under regulations prescribed by the Secretary, an agree- Regulations. ment signed by the Secretary and by, or on behalf of, the real estate investment trust relating to the liability of such trust for tax.
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